Fuel Prices Ease Slightly in Morocco at the Start of August
After a prolonged period of escalation, fuel prices in Morocco saw a slight dip at the beginning of August, offering a sliver of relief to morocco-imminent/” title=”Sound Energy: Morocco Poised for Natural Gas Production”>consumers. The price of diesel decreased by 30 centimes per liter, while gasoline saw a reduction of 25 centimes, bringing the price down to 11.21 dirhams per liter.
Industry sources from the National Federation of Fuel Station Owners, Traders, and Managers confirmed the price adjustments. However, they noted that the extent of the decrease varies across different gas stations and cities.
This slight respite follows a period of significant price hikes during the previous month. July saw diesel prices surge by 33 centimes per liter, while gasoline prices climbed by 16 centimes.
These fluctuations in fuel prices are intricately linked to the global oil market, which is known for its volatility. For instance, recent geopolitical events, such as the killing of a senior Hamas official, contributed to a surge in global oil prices. Brent crude futures rose by 0.70 percent to reach around $80.08 per barrel, while West Texas Intermediate (WTI) crude futures climbed closer to $90 per barrel.
Adding to the complexity of the situation, a recent report by the Moroccan Competition Council highlighted a significant increase in fuel imports during the first quarter of 2024. Diesel and gasoline imports rose by 9.1 percent in volume, reaching approximately 1.47 million tons. The value of these imports also increased by 0.9 percent year-on-year, reaching 12.89 billion dirhams.
The report further revealed that while distribution companies experienced a slight increase in purchase costs – 0.17 dirhams per liter for diesel and 0.32 dirhams per liter for gasoline – this increase remained significantly lower than the surge in international prices for refined petroleum products.
The recent dip in fuel prices offers a temporary reprieve for Moroccan consumers. However, the volatile nature of the global oil market and its susceptibility to geopolitical events and supply chain disruptions means that fuel prices are likely to remain a subject of concern in the foreseeable future.
